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Saudi Arabia And UAE Join The Global Rush For AI Dominance
As operational expenses for AI soar, the race is on to purchase as many high-performance Nvidia chips as possible.
The United Arab Emirates and Saudi Arabia are now part of the global race to buy up thousands of Nvidia A100 and H100 chips, two of the company’s high-performance processors, due to their pivotal role in Generative Artificial Intelligence (GenAI) development.
The Nvidia H100 chip, with a massive price tag of $40,000, is the world’s first processor designed specifically for GenAI. Saudi Arabia already has a stash of over 3,000 of the chips at the King Abdullah University of Science and Technology (KAUST). Meanwhile, the UAE has access to thousands of Nvidia processors and has even developed a unique large language model, known as Falcon, at the Technology Innovation Institute.
The ongoing global chip shortage is contributing to the scarcity and pricing of the processors, and the total cost for server infrastructure is expected to exceed $76 billion by 2028. OpenAI, the leading player in the field, currently runs ChatGPT on a cloud infrastructure costing millions of dollars per day to run. At the same time, the massive amounts of computing power required by these AI systems is also responsible for driving up energy consumption and other related expenses.
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The global scramble for high-performance Nvidia chips reflects AI’s pivotal role in shaping modern, digital-first economies. The ambitions of Saudi Arabia and the UAE to play leading roles in AI development come at significant financial costs and underscore the need for highly efficient computing methods. The development of AI involves not only scientific innovation but also careful attention to the ethical and environmental implications of the technology.
One thing is for sure: As the AI arms race gathers pace, striking a balance between technological advancement and social and environmental responsibility will become paramount.
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“AI Seal” Certification Now Required For Dubai Gov Partnerships
The new mandatory certification is designed to build trust in AI companies and create a reliable network of providers for government and public collaboration.
Dubai has introduced the Dubai AI Seal, a certification designed to establish trust in artificial intelligence (AI) companies and solutions. This initiative, directed by Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Deputy Prime Minister, aims to create a reliable network of AI providers which government entities and businesses can collaborate confidently.
Companies must now obtain the AI Seal to qualify for UAE or Dubai government contracts. The Dubai Centre for Artificial Intelligence (DCAI), which developed the certification, sees it as a competitive edge for companies looking to participate in key national projects. Once certified, businesses will be permitted to showcase the seal across their websites and marketing materials, signaling their credibility and dependability.
The evaluation process will consider six main criteria: the company’s services and operations, the number of employees specializing in AI, ongoing and future projects, as well as existing partnerships with public and private sector entities.
Khalfan Belhoul, CEO of the Dubai Future Foundation, which oversees the DCAI, commented on the initiative’s potential: “This initiative will help create powerful partnerships between the public and private sectors, locally, regionally, and globally. It will help drive new economic opportunities by leveraging AI to serve better the economy, society, and the future we aspire to”.
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The Dubai AI Seal’s goals include providing a clear framework for verifying AI providers, fostering business opportunities for AI companies, and acknowledging the industry’s strategic importance to Dubai’s economy. The initiative emphasizes AI’s role in driving economic growth, creating jobs, and strengthening collaboration between government bodies and technology firms.
All technology companies operating in Dubai and offering AI-related services or products are eligible to apply for the certification at no cost through the official website.
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